Cardinal Health (NYSE:CAH) Stock Gets Price Target Bump from JPMorgan Chase & Co.

Key Points

• JPMorgan raised its price target on Cardinal Health to $286 from $260, maintaining a neutral rating; the new target implies about 4% upside from the prior close.
• Recent quarterly results beat expectations: adjusted earnings were $3.26 per share versus $2.94 forecast, while revenue of $67.51 billion topped estimates and grew 5.5% year over year.
• Analyst sentiment is broadly positive, with a MarketBeat consensus of “Moderate Buy” and an average price target of $275.62; company insiders sold about 210,000 shares worth $49.6 million over the last 90 days.

Cardinal Health (NYSE:CAH - Get Free Report) had its target price increased by stock analysts at JPMorgan Chase & Co. from $260.00 to $286.00 in a research report issued on Tuesday, Benzinga reports. The firm presently has a "neutral" rating on the stock. JPMorgan Chase & Co.'s price target would suggest a potential upside of 3.97% from the stock's previous close.

CAH has been the subject of several other research reports. UBS Group upped their target price on shares of Cardinal Health from $280.00 to $295.00 and gave the company a "buy" rating in a report on Friday, October 16th. Weiss Ratings upgraded shares of Cardinal Health from a "buy (b)" rating to a "buy (b+)" rating in a research note on Thursday, October 8th. Robert W. Baird lifted their price target on shares of Cardinal Health from $251.00 to $274.00 and gave the stock an "outperform" rating in a research note on Wednesday, August 12th. Barclays boosted their price target on shares of Cardinal Health from $258.00 to $275.00 and gave the company an "overweight" rating in a research report on Thursday, August 13th. Finally, Morgan Stanley upped their price objective on shares of Cardinal Health from $265.00 to $286.00 and gave the company an "overweight" rating in a research note on Friday, October 30th. Sixteen research analysts have rated the stock with a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat.com, Cardinal Health has a consensus rating of "Moderate Buy" and an average target price of $275.62.

Cardinal Health Trading Up 0.3%

CAH stock traded up $0.78 during trading on Tuesday, hitting $275.07. 255,515 shares of the company's stock were exchanged, compared to its average volume of 1,949,492. The business has a 50-day moving average price of $241.24 and a two-hundred day moving average price of $223.87. The stock has a market capitalization of $63.70 billion, a price-to-earnings ratio of 35.54, a PEG ratio of 1.57 and a beta of 0.53. Cardinal Health has a 52-week low of $180.45 and a 52-week high of $286.29.

Cardinal Health (NYSE:CAH - Get Free Report) last announced its quarterly earnings results on Thursday, November 5th. The company reported $3.26 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.94 by $0.32. The firm had revenue of $67.51 billion during the quarter, compared to the consensus estimate of $66.67 billion. Cardinal Health had a negative return on equity of 98.53% and a net margin of 0.67%. The firm's quarterly revenue was up 5.5% compared to the same quarter last year. During the same period in the prior year, the company posted $2.55 earnings per share. On average, equities research analysts anticipate that Cardinal Health will post 12.86 earnings per share for the current fiscal year.

Insider Activity at Cardinal Health

In other Cardinal Health news, CAO Mary C. Scherer sold 2,302 shares of Cardinal Health stock in a transaction that occurred on Wednesday, August 19th. The stock was sold at an average price of $237.39, for a total value of $546,471.78. Following the transaction, the chief accounting officer directly owned 2,811 shares in the company, valued at approximately $667,303.29. This trade represents a 45.02% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Michelle Greene sold 11,650 shares of the business's stock in a transaction that occurred on Tuesday, August 18th. The shares were sold at an average price of $235.72, for a total value of $2,746,138.00. Following the completion of the transaction, the insider directly owned 10,330 shares in the company, valued at approximately $2,434,987.60. The trade was a 53.00% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders sold 210,271 shares of company stock worth $49,626,657 in the last ninety days. Company insiders own 0.12% of the company's stock.

Hedge Funds Weigh In On Cardinal Health

Several institutional investors have recently bought and sold shares of CAH. Bridges Investment Management Inc. acquired a new position in shares of Cardinal Health in the 3rd quarter valued at approximately $391,000. Edgestream Partners L.P. acquired a new stake in shares of Cardinal Health during the third quarter worth approximately $7,073,000. Banco Santander S.A. grew its position in shares of Cardinal Health by 11.8% during the third quarter. Banco Santander S.A. now owns 117,572 shares of the company's stock worth $26,160,000 after buying an additional 12,420 shares in the last quarter. Paralel Advisors LLC increased its stake in shares of Cardinal Health by 1.1% in the third quarter. Paralel Advisors LLC now owns 11,056 shares of the company's stock worth $2,460,000 after buying an additional 124 shares during the last quarter. Finally, White Pine Capital LLC bought a new stake in shares of Cardinal Health in the third quarter worth $344,000. 87.17% of the stock is owned by institutional investors and hedge funds.

Cardinal Health Company Profile

Cardinal Health is a healthcare services and products company that distributes pharmaceuticals and medical supplies. Its customers include pharmacies, hospitals, surgery centers, physician offices and other healthcare providers.

The company's businesses include pharmaceutical distribution and specialty services, as well as the sourcing and distribution of medical and surgical products. Its offerings support areas such as specialty medications, medication management and supply-chain operations.

Cardinal Health traces its roots to a wholesale business founded in Ohio in 1971 and later expanded into pharmaceutical distribution.

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